Home sales registered on the MLS in Metro Vancouver remained below their ten-year seasonal averages in August as summer holidays come to a close.
The Greater Vancouver Realtors (GVR) reports that residential sales in the region totalled 1,904 in August 2024, a 17.1% decrease from the 2,296 sales recorded in August 2023. This total was also 26% below the 10-year seasonal average (2,572).
“From a seasonal perspective, August is typically a slower month for sales than June or July. In this respect, this August has been no different,” Andrew Lis, GVR’s director of economics and data analytics said. “With that said, sales remain in a holding pattern, trending roughly 20% below their 10-year seasonal average, which suggests buyers are still feeling the pinch of higher borrowing costs, despite two recent quarter percentage point reductions to the policy rate this summer.”
“Buyers’ hesitancy to enter the market, paired with new listing activity on the part of sellers that is in line with historical averages, has allowed inventory to accumulate for a number of months and has moved the market firmly into balanced conditions,” Lis said.
“With the Bank of Canada’s decision to reduce the policy rate today by another quarter percentage point, and with September being a month that typically sees an increase in sales from a seasonal perspective, the fall market is set up to bring more buyers off the sidelines. We will watch the upcoming September data to see whether they decide to show up.”
Focusing on the Downtown Vancouver condo market in July 2024, the market is balanced and sales are for those who are priced for this market.
The under $900,000 market is selling at 17%, 80 out of 477 homes are selling, down 2% from last month.
The $900,000 to $1,000,000 market is selling at 9%, 6 out of 68 homes are selling, down 4% from last month.
The $1,000,000 to $1,250,000 market is selling at 10%, 12 out of 123 homes are selling, down 6% from last month.
The $1,250,000 to $2,000,000 market is selling at 7%, 17 out of 234 homes are selling, down 3% from last month.
The $2,000,000 to $2,500,000 market is selling at 6%, 3 out of 53 homes are selling, down 2% from last month.
The $2,500,000 to $3,000,000 market is selling at 2%, 1 out of 53 homes are selling, down 3% from last month.
The $3,000,000 to $5,000,000 market is selling at 4%, 3 out of 67 homes are selling, up 1% from last month.
The $5,000,000 plus market is selling at 2%, 1 out of 50 homes are selling, same as last month.
Total unit sales in Downtown Vancouver were down 26% from last month and down 2% from August 2023.
Those who are priced correctly for this market are selling on average at a rate of 30 days which is 40% slower than last month.
The median price decreased 8% from last month, and the median price has decreased 7% from August 2023.
The average price per square foot decreased from $1,113 in July to $1,088 in August.
Our Downtown Vancouver inventory decreased by 4% from last month with 1125 active listings which is up 25% from August 2023.
As always, the sellers’ best bets still remain 1 bedroom condos in particular in the West End. And the buyers’ best bets are units priced above $5 million.
I hope you find this helpful, but should you have any questions please don’t hesitate to ask.
Sincerely,
Ian